Is Singapore set for an Icelandic-style crash?

Is Singapore set for an Icelandic-style crash?: "Song acknowledged that the normalization of interest rates was a clear risk to the Singaporean economy, but in his view, while some will likely get burned, the majority will not be severely impacted.

"Some will be affected, but most will be fine. I expect an orderly adjustment, to say it is a bubble is stretching it," he added."

He also added that Singapore and Iceland have very different macroeconomic fundamentals, which makes them difficult to compare.

"Singapore has a strong current account surplus, while Iceland had a current account deficit during its credit crunch. Singapore's fiscal position and strength is also much stronger compared with Iceland," he said.

'via Blog this'